Main

Room Mech Room Total

Direct Machine Machine Machine
Product Labor $ Hours Hours Hours
ICA $917.00 8.5 10.0 18.5
ICB $2,051.00 14.0 26.0 40.0
Capacitor $1,094.00 3.0 4.5 7.5
Amplifier $525.00 4.0 1.0 5.0
Diode $519.00 7.0 5.0 12.0

Without New
Machine

Manager
New Consultant
Costing New
System Diff from Costing
Product Current Plan Current System Plan
ICA $2,246.65 $2,580.40 $333.75 $2,765.90
ICB $5,024.95 $5,661.20 $636.25 $6,281.20
Capacitor $2,680.30 $1,912.80 ($767.50) $2,010.30
Amplifier $1,286.25 $1,030.00 ($256.25) $995.00
Diode $1,271.55 $1,582.80 $311.25 $1,628.80
$12,509.70 $12,767.20 $257.50 $13,681.20

With New
Machine

Manager
New Consultant
Costing New
System Diff from Costing
Product Current Plan Current System Plan
ICA $2,310.84 $2,672.90 $362.06 $2,833.90
ICB $5,168.52 $5,861.20 $692.68 $6,393.20
Capacitor $2,756.88 $1,950.30 ($806.58) $2,034.30
Amplifier $1,323.00 $1,055.00 ($268.00) $1,027.00
Diode $1,307.88 $1,642.80 $334.92 $1,684.80
$12,867.12 $13,182.20 $315.08 $13,973.20
Without New Machine effective calculated
Current Overhead 145% 144.60%

Manager Plan
Machine Hour Rate $80.00 $80.10
Burden Rate 20%

Consultant Plan effective rate hours burden rate

Main Test Room $63.00 33,201.00 $2,103,116.00 $63.34
Mechanical Test Room $113.00 17,103.00 $1,926,263.00 $112.63
Burden Rate 20%

With New Machine effective calculated

Current Overhead 152% 152.27%

Manager Plan
Machine Hour Rate $85.00 $85.07
Burden Rate 20%

Consultant Plan effective rate hours burden rate

Main Test Room $71.00 33,201.00 $2,353,116.00 $70.87
Mechanical Test Room $113.00 17,103.00 $1,926,263.00 $112.63
Burden Rate 20%

Without new Machine

Cost Breakdown Fixed Fixed
Variable Depreciation Other Total
Main Test Room $887,379 $88,779 $1,126,958 $2,103,116
Mechanical Test Room $443,833 $808,103 $674,327 $1,926,263
Test Room Burden $1,331,212 $896,882 $1,801,285 $4,029,379
Engineering & Admin $95,105 $391,118 $198,380 $684,603
Total Burden $1,426,317 $1,288,000 $1,999,665 $4,713,982

New Machine Costs

Cost Breakdown Fixed Fixed
Variable Depreciation Other Total
Main Test Room $100,000 $150,000 $250,000
Mechanical Test Room $0
Test Room Burden $100,000 $150,000 $0 $250,000
Engineering & Admin $0
Total Burden $100,000 $150,000 $0 $250,000

With new Machine

Cost Breakdown Fixed Fixed
Variable Depreciation Other Total
Main Test Room $987,379 $238,779 $1,126,958 $2,353,116
Mechanical Test Room $443,833 $808,103 $674,327 $1,926,263
Test Room Burden $1,431,212 $1,046,882 $1,801,285 $4,279,379
Engineering & Admin $95,105 $391,118 $198,380 $684,603
Total Burden $1,526,317 $1,438,000 $1,999,665 $4,963,982
 Diff
from
Diff from Manage
Current r
$519.25 $185.50
$1,256.25 $620.00
($670.00) $97.50
($291.25) ($35.00)
$357.25 $46.00
$1,171.50 $914.00

Diff
from
Diff from Manage
Current r
$523.06 $161.00
$1,224.68 $532.00
($722.58) $84.00
($296.00) ($28.00)
$376.92 $42.00
$1,106.08 $791.00
Budgeted Direct Labor $3,260,015.00